When you work as an independent contractor for a business, you may want to make payments to another person or company. To do so, you may need an IRS Form W-9 that will give you some necessary information. Certainly, you may need to complete a Form W-9 and give it to the business that will pay you.
Unfortunately, not all workers really understand how to complete a Form W-9, as there are a lot of sections that should be completed on the form. No worries! This post will show you a guide to complete a Form W-9 by downloading and printing it first. So, you will be able to complete it easier.
How to Download and Print a Form W-9?
The main purpose of Form W-9 is to provide your correct Taxpayer Identification Number (TIN) to the person who is asked to file an information return with the IRS to report, such as:
- Income paid to you.
- Real estate transactions.
- Mortgage interest you paid.
- Acquisition or abandonment of secured property.
- Cancellation of debt.
- Contributions you made to an IRA.
To get printable IRS Form W-9, you just simply click this link to download and print the form. Once clicking this link, it will bring you a Form W-9.
If you want to download the IRS Form W-9, you can just click the ‘Down Arrow’ icon that can be found at the top right of your screen. After that, you need to save the file into a folder you want. Then, click the ‘Save’ button. The file will be automatically downloaded. After the downloading process is completed, you can then open the file.
If you want to print the IRS Form W-9, you can just click the ‘Printer’ icon that can be found at the top right of your screen next to the Download icon. Before you can print the form, you may need to save the file first. After the file is saved in a folder, you can then print the form. Make sure you’ve connected your computer or PC to a printer. Afterwards, you will successfully print the IRS Form W-9.
What Is the IRS Form W-9?
Form W-9 is a commonly used IRS form that provides the necessary information to a person or business used to report income paid to self-employed people such as freelancers, independent contractors or other customers.
The person or business that you perform business with uses the W-9 to gather some of your personal information like your name, address and taxpayer identification number including Social Security numbers for individuals and employer identification numbers or EINs, for business.
Generally, you will submit a W-9 as you engage in most taxable transactions that need reporting to the IRS. Then, the person or business that pays you will be responsible for requesting the Form W-9 from you.
However, the requester has no obligation to file the Form W-9 with the IRS. The person keeps the form on file and uses this information to prepare other returns such as 1098 Forms and 1099 Forms, as well as to determine whether federal tax withholding is needed on the payments you receive.
When you start working with a contractor or freelancer, you have to request that he or she complete a Form W-9 before starting any engagement. If you fail to do so, it could prove troublesome after beginning the work.
Therefore, make sure to ask for a Form W-9 before starting any work with a person or business if they have not already provided you with one. If you fail to do so, it can make you required to do backup withholding.
How to Complete Form W-9?
After downloading and printing the Form W-9, you need to complete Form W-9 to provide the information for the following lines and parts:
Line 1: Name
If you send the Form W-9 as an individual, you need to enter the name shown on your tax return. If you’ve changed your last name without informing the Social Security Administration (SSA). You then need to enter your first name, the last name as shown on your Social Security card and your new last name.
You can also enter your name as you entered it on your Form W-7 application if you have applied for an individual taxpayer identification number (ITIN).
Line 2: Business Name
If you complete your W-9 as a business, you can use this line to provide the information.
Line 3: Federal Tax Classification
Depending on your circumstance, you can choose the most appropriate federal tax classification on line 3 for the name that you’ve entered on line 1. You can also check only one box on line 3 of the W-9. In line 3, there are some options for which box you need to check on line 3.
Line 4: Exemptions
Certain organizations and businesses are exempt from backup withholding in specific instances and you have to fill out this line. You will have to provide a number or letter code that represents the reasons behind creating this declaration if any of those apply to your situation.
Individuals and businesses that are exempt from backup withholding will provide a code corresponding to the reason that they are exempt. In most cases, businesses and corporations will be exempt from backup withholding.
The Foreign Account Tax Compliance Act (FACTA) will appear on the second prompt of the Exemptions line. Foreign financial institutions are commonly prompted to report payments to and withhold taxes from payments to their customers which are United States persons. However, certain payments are exempt from this and will have to enter the applicable code from the Form W-9 instructions to emphasize their exemption.
Line 5 & 6: Address
This line provides the address including address, city, state and ZIP code where the person or company will mail you with your 1099.
Line 7: Account Number
The account number will be necessary if you have to supply the person or business that pays you with account information such as a bank or brokerage account which pertains to the request for the Form W-9.